Monday, July 18, 2011

EUR/USD: Pull-Back in Progress - 18 July 2011

 The euro-dollar pair has bounced off the lower boundary of a recent channel and it will probably rise to the upper channel line at the 1.4100 level, or resistance at 1.4125.

There is a Demark buy setup on the 4-hour chart supporting this short-term bullish perspective. The bearish point and figure charts however indicate a probable resumption of the down-trend eventually, targeting 1.3950 to the downside.

Analysis prepared by:
Joaquin Monfort
Forex4you analyst